Dixons sees surge in Irish store sales

British electrical goods retailer Dixons says sales in its 14 Irish stores rose by 31% to £33m (€42m) in its first half to November 15.

The company Dixon Group PLC which owns of Dixons, Currys and PC World among others, have beaten forecasts with higher Christmas sales, boosted by customer demand for flat screen TVs and digital cameras.

Dixons shocked investors with a profit warning this time last year, said sales at stores open more than a year rose 5% in the eight weeks to January 10, including a 4% rise in Britain.

The group said profit before tax and goodwill rose 9% to £105.7m (€153.4m) in the 28 weeks to November 15, in line with analysts' expectations.

Operating profit (before goodwill amortisation) grew by 171% to £20.9m (€30.32m).

The effect of the strengthening of both the Swedish and Danish Kroner and the Euro during the half year increased sales growth.

Sales in the established international businesses (Elkjop, UniEuro and Ireland) increased by 98% to £756m (€1097m).

Operating profits for the established international businesses grew by 88% to £41m (€59.48m).

The Group like-for-like sales in the period rose by 1%, though British sales were flat.

The group said that Britain's retailers had a tough Christmas exacerbated by November's hike in interest rates and a slowdown in consumer spending growth, with electrical goods shops facing stiff competition from supermarkets.